Wage Subsdiy Scheme (TWSS & EWSS) | Guest: Revenue 3rd September 2020 1 Wage Subsidy Schemes (TWSS & EWSS) The webinar will begin shortly… Welcome to today’s webinar From Thesaurus Software… Paul Byrne Managing Director & Former Accountant Audrey Mooney Customer Support Manager Laura Murphy HR Manager & Employment Law Expert Rachel Hynes Senior Marketing Executive From Revenue… Anne Dullea Principal Officer (Medium Enterprises Division) Gearóid Murphy Principal Officer (Personal Division) Laura Glancy Assistant Principal (Personal Taxes, Policy & Legislation Division) Siobhán Gilbourne Higher Executive Officer (Personal Division)
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Wage Subsidy Schemes Welcome (TWSS & EWSS) to today’s … Slides - 3 September.pdf · Wage Subsdiy Scheme (TWSS & EWSS) | Guest: Revenue 3rd September 2020 6 If no comparable period
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TWSS ceases for all submissions with pay dates on or after 1 September
Employer must stop making J9 payroll submissions and return all future payrolls to normal using RPNs and correct PRSI classes.
Ensure the employee PRSI class on all its employees is returned to the correct PRSI class
Employer must retain all records for TWSS operation including subsidy payments to employees. Employers operating TWSS will be included in Reconciliation and publication at the end of the scheme.
Compliance Check Programme
Letters issuing to employers/agents via MyEnquiries
If no comparable period in 2019, where business operations commenced:
On or before 1 November 2019, the 30% decline test determined in 2020 by
reference to the same period in 2019, in which the business was in operation
After 1 November 2019, the employer must be able to show projected
turnover or orders for the period 1 July to 31 December 2020 will be at least 30% less than expected turnover or orders would have been
without disruption caused by Covid-19.
Employer must remain tax compliant throughout the operation of the EWSS
Review of eligibility each month from August 2020 to February 2021. If circumstances change, or employer no longer meets eligibility, they must de-register on ROS from 1st day of the following month and cease claiming subsidy
If the employer becomes eligible again, they can re-register and operate EWSS from the date of re-registration.
Employee Eligibility
Eligibility extended to seasonal workers
and new hires
Childcare Businesses registered in
accordance with Childcare Act 1991
included
Non TWSS Employers or non eligible TWSS employees eligible
from 1st July
No restrictions under TUPE arrangements
Certain exclusions in legislation
Proprietary Directors and Connected
Parties
Registration
Employers must make a self declaration through ROS
eRegistration system to facilitate EWSS live from 18 August
Employer must be PAYE/PRSI registered, tax clear and has linked bank account in order to register for EWSS
Eligible employers will receive a per-head subsidy on a flat rate basis which will be determined based on the amount of gross pay that the employer pays to the eligible employee
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Where employee weekly Gross Pay Subsidy Payable
Less than €151.50 €0
From €151.50 to €202.99 €151.50 per week
From €203 to €1,462 €203 per week
More than €1,462 €0
Operating EWSS
Flat rate subsidyPaid to employer based on
employee Gross Weekly Wage
Pay Frequency other than weekly
Calculate Gross Weekly Wage/No. of insurable
weeks
Gross Wage Includes notional pay
before deductions Excludes non-taxable
benefits
Normal payroll PRSI/PAYE process
EWSS indicator ‘Other Payments’ with a
value between Zero and 1 to indicate subsidy request.
NOT ON PAYSLIP
Return filing Submissions to be made by
return filing date of relevant month i.e 14th of
following month
Multiple employments Each employer makes a
claim in own right
Safeguards and Compliance
The Act includes a specific anti-avoidance provision which seeks to counteract A. contrived situations whereby any gross pay due to an employee is deferred,
suspended, increased or decreased with a view to securing the wage subsidy or B. situations where an employee is laid off and removed from the payroll and
replaced with two or more employees in relation for whom the subsidy would be available.
If Revenue identify any such cases, the employer will be treated as having never been eligible for the scheme and any subsidy payments received would need to be refunded, together with possible interest and penalties.
Employer should retain all evidence and supporting documentation of their operation of EWSS as compliance checks will be undertaken on a risk or random basis.
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Transition from TWSS to EWSSin Thesaurus & BrightPay
Pandemic Unemployment Payment – Payment Rates until April 2021https://www.gov.ie/en/publication/0b0fc-covid-19-pandemic-unemployment-payment-rates-from-17-september-2020/
Important Update – Employment Wage Subsidy Schemehttps://www.brightpay.ie/blog/2020/08/the-employment-wage-subsidy-scheme-important-update/
Tips for HR Managers Post-Coronavirushttps://www.brightpay.ie/blog/2020/08/8-tips-for-hr-managers-post-coronavirus/